The Cannabis Industry Lawyer dusted off his old Series 7 license, which he earned right after graduating from law school in 2008 – talk about bad timing – see the video at minute 3 for more. All these marijuana stocks are all trading on very illiquid markets that can spell doom for investors. Actually, considering Tom represents financial institutions on the regular, he can tell you all equities are fairly risky right now because of increased defaults from rising interest rates, upward inflationary pressure and full employment – a/k/a there will probably be a recession in the next 12-18 months.
Sure, most people just buy things because they think they are super smart and will totally be rich, rich, rich. Well, scam artists know that and will use your greed against you to take your money. Then, even if you get a paper gain, try to liquidate it. Have you ever put in a market order that doesn’t fill? Try some micro-cap trades with pump-and-dump schemes like weed stocks.
Hey, flip to 9 minutes in to see exactly why the SEC will not let a marijuana stock trade on a legitimate exchange while it remains a schedule I substance. Tom takes the piss on some similar stock tips, like Amalgamated Cocaine, and Confederated Prostitutes. Basically, the SEC is not going to allow a stock whose business is trafficking in prohibits goods and services.
If you dig on that, check out the video and subscribe to the Cannabis Industry Lawyer and ask him questions. If he answers yours, then you win a copy of his book on the legal history of marijuana in America and why it should be unconstitutional.